Compliance Buyouts

[Eleven]

So the Sabres have two available, and one is almost certainly to be used on Leino.

 

Is it possible that they have to use the other on Ehrhoff? The grid (below) on possible recapture penalties if he retires--even if he's traded first--is scary:

 

http://capgeek.com/recapture-grid

[inkman]

Do you think he retires in the next 5 years ?

[Lanny]

If he is traded it will be worse as the Sabres won't gain the credit from the final years of the deal where his cap hit is greater than his salary.

 

I don't think I would buy him out as those penalties are not likely to be all that restrictive, especially with a rising cap. However, even if salary is retained, I don't think I would risk trading him

Edited June 13, 2014 by Lanny

[Hoss]

I don't really think that Ehrhoff's cap recapture will be too much of a problem. What we can get for him in a trade would be more appealing than worrying about the potential of what might happen years from now.

 

I would rather use the other buyout on somebody else's mistake.

[Sabres Fan in NS]

I'd accept a buyout right about now.

[Lanny]

I don't really think that Ehrhoff's cap recapture will be too much of a problem. What we can get for him in a trade would be more appealing than worrying about the potential of what might happen years from now.

 

I would rather use the other buyout on somebody else's mistake.

That $10M hit in 2020 could be pretty crippling for one season. Edited June 13, 2014 by Lanny

[Eleven]

That $10M hit in 2020 could be pretty crippling for one season.

 

Yeah, just when they should be peaking, too. It's a legitimate concern.

[Hoss]

Murray said he'd be looking to take on some salary if it meant moving back into the first round. Bob McKenzie said Murray has told teams he'll use a compliance buyout for another team's bad contract, so I think they'll save it for that.

 

Ehrhoff will be 36 when the last year of his deal comes in. I think he could easily finish the deal without retiring.

Edited June 13, 2014 by Tankalicious

[JJFIVEOH]

$10M cap hit in 2020?

 

http://www.capgeek.com/player/121

 

I don't see why Ehrhoff would be a compliance buyout candidate. He has a very cap friendly contract, especially considering most of the real money was paid up front. Only thing I can tell that would be detrimental is the length. And the type of player Ehrhoff is, I can easily see him playing well into his late 30's, if not to 40.

[Lanny]

$10M cap hit in 2020?

 

http://www.capgeek.com/player/121

 

I don't see why Ehrhoff would be a compliance buyout candidate. He has a very cap friendly contract, especially considering most of the real money was paid up front. Only thing I can tell that would be detrimental is the length. And the type of player Ehrhoff is, I can easily see him playing well into his late 30's, if not to 40.

If he is traded and retires prior to the 2020 season, the Sabres have a recapture penalty of $10M

 

http://www.capgeek.com/recapture-calculator/?contract_id=3266&player_id=121&recapture_submit=set&retirement_year=2020&trade=1&acquiring_team=6&in_season_trade=0&in_season_traded_year=2013&season_percentage=1&off_season_traded_year=2014

[Trettioåtta]

If he is traded and retires prior to the 2020 season, the Sabres have a recapture penalty of $10M

 

http://www.capgeek.c...raded_year=2014

 

The cap will probably be $100 by then anyway. However, he would be retiring at mid-late 30s. That is fine, it isn't like he is signed until he is 45

[JJFIVEOH]

If he is traded and retires prior to the 2020 season, the Sabres have a recapture penalty of $10M

 

http://www.capgeek.c...raded_year=2014

 

Ah, thank you. Forgot about that.

[dudacek]

Can the Sabres restructure Ehrhoff's contract to eliminate the recapture issue?

Or is the damage already done because the front-loaded payouts have already been made?

 

Can the Sabres somehow petition to take the recapture hit on their cap now, when they have the space?

That would compensate for how the original contract circumvented the rules and address the spirit of what the recapture was designed to police.

 

What if Ehrhoff "retires" now, we pay the penalty, which takes us to the floor, then we resign him?

Edited June 13, 2014 by dudacek

[beerme1]

Do you think he retires in the next 5 years ?

 

How many of those does he play like he did this season?

[MattPie]

Murray said he'd be looking to take on some salary if it meant moving back into the first round. Bob McKenzie said Murray has told teams he'll use a compliance buyout for another team's bad contract, so I think they'll save it for that.

 

Ehrhoff will be 36 when the last year of his deal comes in. I think he could easily finish the deal without retiring.

 

He easily could. Or he could have a series of knee injuries (a la Drury) and call it quits at 34. That could happen here, but the Sabres could at least convince him (hopefully) to play it out on LITR (like Pronger) and not kill the teams cap. Another team may not give him the option or actively encourage him to retire to screw the Sabres. I'm in the keep him or buy out, but not trade camp.

Edited June 13, 2014 by MattPie

[Hoss]

 

 

He easily could. Or he could have a series of knee injuries (a la Drury) and call it quits at 34. That could happen here, but the Sabres could at least convince him (hopefully) to play it out on LITR (like Pronger) and not kill the teams cap. Another team may not give him the option or actively encourage him to retire to screw the Sabres. I'm in the keep him or buy out, but not trade camp.

 

Sure, he COULD have knee injuries. So could whoever we pick at 2. Should we trade the pick because maybe that player will get hurt and retire? No.

 

These are all pretty big maybes. Murray should make the move that he thinks benefits the team, which, to me, would be to get the most out of an Ehrhoff trade now.

[JJFIVEOH]

How many of those does he play like he did this season?

 

He's been a damn good D-man. I can't hold the last quarter of this past season against him. I'm for keeping him if he wants to stay. No matter how much people want to tear a team apart and start from scratch, you need some veterans no matter how you look at it.

[MattPie]

Sure, he COULD have knee injuries. So could whoever we pick at 2. Should we trade the pick because maybe that player will get hurt and retire? No.

 

These are all pretty big maybes. Murray should make the move that he thinks benefits the team, which, to me, would be to get the most out of an Ehrhoff trade now.

 

You're right that it's all a gamble, but gambling with what will be at least 10% of of your cap space (in the worst case, and if the cap is $100M by then) is a pretty big gamble.

[thewookie1]

I'd buyout Leino with a normal buyout then use our two on other teams screw ups.

 

I have a question though, if we traded for Hossa from Chicago and bought him out with a compliance buyout, would Chicago be allowed to resign Hossa? If yes, I'd give Stan Bowman a call; Hossa's recapture is worse than Ehrhoffs by the simple fact his contract goes well into his 40's

[Hoss]

One thing I wondered was if we could re-acquire Ehrhoff later on and use a regular buyout on him to avoid the huge recapture.

 

I'd buyout Leino with a normal buyout then use our two on other teams screw ups.

 

I have a question though, if we traded for Hossa from Chicago and bought him out with a compliance buyout, would Chicago be allowed to resign Hossa? If yes, I'd give Stan Bowman a call; Hossa's recapture is worse than Ehrhoffs by the simple fact his contract goes well into his 40's

 

No, a team can't trade a player and then resign them after they're bought out using a compliance buyout.

[LastPommerFan]

None of these guys are going to retire early. They are all going to Chris Pronger their way to the end of their contracts. This is absolutely an unwritten agreement between the Owners and the NHLPA.

[Lanny]

What if Ehrhoff "retires" now, we pay the penalty, which takes us to the floor, then we resign him?

If he retired now the penalty would be the $10M divided amongst the years remaining on the contract, so only like $1.43M per season for the next 7 years.

[TrueBlueGED]

Can the Sabres restructure Ehrhoff's contract to eliminate the recapture issue?

Or is the damage already done because the front-loaded payouts have already been made?

 

Can the Sabres somehow petition to take the recapture hit on their cap now, when they have the space?

That would compensate for how the original contract circumvented the rules and address the spirit of what the recapture was designed to police.

 

What if Ehrhoff "retires" now, we pay the penalty, which takes us to the floor, then we resign him?

 

NHL contracts can't be restructured.

[thewookie1]

One thing I wondered was if we could re-acquire Ehrhoff later on and use a regular buyout on him to avoid the huge recapture.

 

 

 

No, a team can't trade a player and then resign them after they're bought out using a compliance buyout.

 

 

 

Are you certain, because I know you can't sign the guy you bought out, but if Buffalo were to buy him out wouldn't we then be the team unable to resign him? Could you send me a link to this info?

[inkman]

How many of those does he play like he did this season?

If I had it my way he's playing like that for someone else